Global Duty-Free Retailing Market is valued approximately USD 33.7 billion in 2021 and is anticipated to grow with a healthy growth rate of more than 10.6% over the forecast period 2022-2029. Duty-Free Retailing is a type of retailing setup in which products are sold at shops present at airports, cruise, and ferries where no tax is levied on the purchased products. Moreover, these products are largely sold to international travelers and are exempted from local and national taxes as well as tariffs. The increasing growth of international tourism activities and growing consumer spending are key factors driving the market growth.
The increasing growth of international tourism activities due to rise in disposable income & increased profitability is contributing towards the growth of the Global Duty-Free Retailing Market. For instance – according to Statista – as of 2023, revenue in in the worldwide Travel & Tourism market is estimated at USD 854.8 billion, and as per estimation the revenue is expected to show an annual growth rate of 4.41%, between 2023 and 2027, resulting in a projected market volume of USD 1,016 billion by 2027. Additionally, in 2020, the international tourism arrival worldwide was estimated at 409.5 million, due to pandemic, further the volume of international tourism arrivals increased by around nine percent in 2021 and reached at approximately 446 million. Also, increasing development of greenfield airports and growing investment in ocean tourism would create lucrative growth prospectus for the market over the forecast period. However, the decline in air traffic due to pandemic stifles market growth throughout the forecast period of 2022-2029.
The key regions considered for the Global Duty-Free Retailing Market study includes Asia Pacific, North America, Europe, Latin America, and Rest of the World. Asia Pacific dominated the market in terms of revenue, owing to the growing number of international tourism activities and increasing number of new international routes in the region. Whereas Asia Pacific is expected to grow with a highest CAGR during the forecast period, owing to factors such as rising modernization of existing airports and increasing development of new greenfield airports in the region.
Major market player included in this report are:
Lotte Duty Free
The Shilla Duty Free
China Duty Free Group Co., Ltd
Lagard?re Travel Retail
Duty Free Americas
KING POWER International
Dubai Duty Free
Gebr. Heinemann SE & Co. KG
Recent Developments in the Market:
? In September 2022, Switzerland based Dufry AG has won the tender for a duty-paid contract at Chongqing International Airport in Western China. Under this five-year contract Dufry AG would operate five duty-paid boutique stores in the airport’s Terminal 3A.
? In December 2022, GAena, the Spanish public company, a leader in management of airports in Spain, has rolled out tenders for 86 duty-free outlets at 27 airports in its network.
Global Duty-Free Retailing Market Report Scope:
Historical Data 2019-2020-2021
Base Year for Estimation 2021
Forecast period 2022-2029
Report Coverage Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
Segments Covered Product Type, Sales Channel, Region
Regional Scope North America; Europe; Asia Pacific; Latin America; Rest of the World
Customization Scope Free report customization (equivalent up to 8 analyst’s working hours) with purchase. Addition or alteration to country, regional & segment scope*
The objective of the study is to define market sizes of different segments & countries in recent years and to forecast the values to the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within countries involved in the study.
The report also caters detailed information about the crucial aspects such as driving factors & challenges which will define the future growth of the market. Additionally, it also incorporates potential opportunities in micro markets for stakeholders to invest along with the detailed analysis of competitive landscape and product offerings of key players. The detailed segments and sub-segment of the market are explained below:
By Product Type
Perfume & Cosmetics
Wine & Spirits
Confectionery & Catering
By Sales Channel
Down-Town & Hotel Shop
Rest of the World